Union Finance Minister (FM) Nirmala Sitharaman announced today, Tuesday, July 22, that the government will provide financial support for loans up to Rs 10 lakh for higher education in domestic institutions. This was stated in a report by PTI.

Presenting the budget for the Financial Year (FY) 2024-25, she said e-vouchers for this purpose will be given directly to one lakh students every year with interest subvention of 3% of the loan amount.

Upgrading 1,000 Industrial Training Institutes (ITIs) in the hub and spoke model, aligning course content with the skill needs of industry and revision of model skill loan scheme, are among the measures announced by the Finance Minister for the Skill Development sector.

"For helping our youth who have not been eligible for any benefit under government schemes and policies, government will provide financial support for loans up to Rs 10 lakh for higher education in domestic institutions," said Nirmala Sitharaman.

"E-vouchers for this purpose will be given directly to one lakh students every year with interest subvention of 3% of the loan amount," Sitharaman said.

Moreover, the Union Budget for 2024-25 will provide Rs 1.48 lakh crore for education, employment and skills in the country.

The FM said, "1,000 ITIs (Industrial Training Institute) will be upgraded in the hub and spoke model, course content and design will be aligned to the skill needs of the industry and new courses will be introduced for emerging needs. I am happy to announce a new centrally sponsored scheme for skill development in which 20 lakh youth will be skilled over a period of five years."

She further added, "The model skill loan scheme will be revised to facilitate loans up to RS 7.5 lakh with a guarantee from government promoted fund this measure is expected to help 25,000 students every year."